There are few exchanges that have managed to remain reliable and stable over time within this market, we have witnessed how even the largest have fallen, as is the case of Mt. Gox. For this reason today we will analyze one of the selected exchange houses that have achieved permanence despite the difficulties, it is CEX.io.
- 1 What is CEX.IO?
- 2 CEX.IO Security as Exchange
- 3 Coins that we can buy in CEX.IO
- 4 How to buy crypto coins with CEX.IO
- 5 CEX.IO fees
- 6 Advantages of CEX.IO
- 7 Disadvantages of CEX.IO
- 8 Conclusion
What is CEX.IO?
Formally registered as a company in London, UK, it has all the licences and registrations to operate legally as a bureau de change. It is also part of the Financial Crimes Enforcement Network of the United States, a body of the United States financial sector.
Its operations are since 2013 and since then has grown to become an option to buy and sell crypto currencies with dollars, euros, roubles and pounds sterling. At the moment there are a total of 10 crypto currencies in operation, these are Bitcoin, Bitcoin Gold, Litecoin, Bitcoin Cash, Dash, Ethereum, Stellar, Monero, Zcash and the stablecoin Gemini USD that was incorporated at the end of 2018.
They previously provided cloud mining services and mining pools through the GHash.io platform but these were suspended in 2015. Various reasons are speculated as to why these services were suspended but, officially, no information is available as to the reason for this decision.
One of the most important aspects to evaluate of CEX.io is its margin trading offer. This feature represents the possibility of providing users with a «loan» of funds to be able to perform 1:2 and 1:3 leverage trades on the trade pairs BTC / USD , BTC / EUR , ETH / BTC and ETH / USD.
Another considerable aspect of CEX.io is the possibility of buying crypto coins with FIAT currency. The platform currently accepts payments by Visa and Mastercard credit/debit cards as well as bank transfers. Revenues can be made with dollars, euros, rubles and pounds sterling, which are the FIAT currencies accepted by the platform.
CEX.IO Security as Exchange
In terms of security, Exchange reports that it has NEVER suffered any type of attack within its platform and this is due to the fact that they have a very high level of protection. First of all, the access to the platform is protected against DDoS attacks, channeling the accesses to avoid hacking attacks by overloading the computers.
It is also important to determine that all Exchange data is protected following the Data Security Standards required in the Payment Card Industry, the so-called PCI DSS. At the level of security with respect to users is offered the authentication system of two factors for what is the access of the account that we have in CEX.io.
Coins that we can buy in CEX.IO
As we mentioned before, CEX.io’s offer to buy crypto coins with Fiat coin is somewhat limited but you can buy coins with greater circulation in the market. The options offered are BTC, BTG, LTC, BCH, ETH, DASH, XLM, XRP, ZCASH and GUSD.
How to buy crypto coins with CEX.IO
Due to the legal regulations to which it is subjected, the vast majority of the purchase processes at CEX.io must go through a strict process of identity verification with personal photos and photos of official documents. In order to go through the verification process we must register on the platform with all our real information.
Unverified accounts can only buy and sell crypto currencies through credit cards. Bank accounts cannot be used and are limited to $1,000 per day and $3,000 per month. Likewise, bank accounts may not be used to buy or sell crypto currencies for U.S. citizens, whether or not there is verification.
Verification process in CEX.IO
As in other exchanges, the verification process requires us to take a personal photograph as well as attach a photograph of some form of official identification. It will also be necessary some kind of invoice or official documentation that shows the exact address where we are. It is important to remember in this last point that the address we check is located in the country we indicated at the time of our registration.
The commissions within the platform vary depending on the type of trade you want to make. In the first place we will highlight the commissions that you have to enter FIAT currency into the Exchange. In the case of bank transfers, there is no commission, while if credit cards are used, there is a 2.99% fee on the amount to be paid.
For withdrawals in FIAT currency, a sum between flat and percentage commissions is applied. If you wish to withdraw to a bank account, there is a fee of 50 dollars and a minimum withdrawal of 1000 dollars.
If you want to withdraw by credit card the flat fee is 5 dollars plus 3.8% on the amount you want to withdraw. In the case of credit cards, they have lower minimum limits, located at 20 dollars.
As far as trading commissions are concerned, they have a system that varies between the maker (those who create the offer within the Exchange) and the taker (those who take the offer already created within the Exchange) and also varies according to the amount of Bitcoin that is traded within 30 days. For users who trade less than 5 BTCs in a month, maker commissions are 0.16% while taker commissions are 0.25%.
They also establish a commission for the leverage operations to be carried out within the platform. The commission is 0.2% when you want to open trades with this tool and 0.1% when you close.
In order to have complete information on the rates that apply within the platform, we can go to the official website of the Exchange.
Advantages of CEX.IO
No commission for bank account deposits
There are very few opportunities that we can find within the market that offer us change from FIAT to crypto currencies without any commission, especially options that are really safe. CEX.io offers us the opportunity to buy crypto coins using our money without paying commission, is an advantage that we can not pass up.
CEX.io can proudly say that it is a platform that has not seen hacker attacks on its funds and this thanks to its high security standards. After the big fiascos that we have taken into the market by stealing funds and hacking accounts from various exchanges, getting an Exchange as secure as CEX.io is very positive.
Disadvantages of CEX.IO
Very limited actions for those who do not verify their account
Although it is true that the deposit through bank account that CEX.io offers us is highly positive, it is necessary to have our account verified before being able to operate with this option. For many users, the verification of accounts in the world of crypto coins is something that is not well seen because it is considered an invasion of personal and financial privacy, something that precisely crypto coins try to avoid.
In the case of CEX.io, those who do not have their accounts properly verified can only make transactions with credit cards and with a fairly low money limit, which practically forces users to have to verify their account in order to take advantage of the full potential of the platform.
CEX.io is a solid, secure and reliable Exchange in which we can operate both those who are starting with crypto currencies as well as those who already have some experience within the market. Although it is true that its commissions for trading are a little high and the offer of crypto currencies is somewhat varied, it is a suitable Exchange to keep us conservatively in the market.